Indian Defence Budget 2023- In Details

As the Union Budget 2023 was presented today on Wednesday, 1 February and Finance Minister Nirmala Sitharaman delivered her most-awaited Budget speech. This year, defence ministry has been allocated Rs 5.94 lakh crore, approx a 13% hike over the previous year. As per the current dollar exchange rate (0.0122) it will be approximately $72.73 billion.

Defence Budget 2023

  • Total: 5.94 lakh crore (5.25 crores in 2022)
  • For Capital outlay (modernisation): 1.62 lakh crore (1.50 in ’22)
  • For Revenue: 2.70 lakh cr
  • For Pensions: 1.38 lakh cr
  • For Defence (Civil): 0.22 lakh cr
  • Indian Air Force gets a major part in modernisation outlay among all three services which is 57.13 thousand Crore, whereas Army and Navy get 37.24 thousand crore & 52.80 thousand crore.
  • MoD is committed towards infrastructure strengthening in the Border Areas, particularly the Northern Borders. Accordingly, the Capital Budget of the Border Roads Organisation (BRO) has been increased by 43% to Rs 5,000 crore in FY 2023-24 as against Rs 3,500 crore in FY 2022-23. Also, the allocation under this segment has doubled in two years since FY 2021-22. This will boost the Border infrastructure thereby creating strategically important assets like Sela Tunnel, Nechipu Tunnel & Sela-Chhabrela Tunnel and will also enhance border connectivity.
  • Towards strengthening Research and Development in Defence, the allocation to DRDO has been enhanced by 9%, with a total allocation of Rs 23,264 crore in BE 2023-24.
  • To further foster innovation, encourage technology development and strengthen the Defence Industrial ecosystem in the country, iDEX and DTIS have been allocated Rs 116 crore and Rs 45 crore respectively representing an enhancement of 93% for iDEX and 95% for DTIS over 2022-23. This will fulfil the Ministry of Defence’s vision to leverage ideas from bright young minds across the country.
  • The Union Budget 2023-24 has provided Exempt-Exempt-Exempt (EEE) status to the Agniveer Fund.  

Do let us know your thoughts in the comment section below about Defence Budget 2023-24.



The Editorial Team At DefenceXP Network Consists Of Professional Writers, Defence Enthusiast And Defence Aspirants.


  1. *Defence Budget*: ₹5,93,537 crore
    (13.01% ⬆️)

    *IAF*: ₹57,132 crore
    *Indian Navy*: ₹52,804 crore
    *Indian Army*: ₹37,231 crore
    *For Pensions*: ₹1,38,205 crore(15.46%⬆️)
    *For Modernization*: ₹1,62,600 crore(6.7%⬆️)
    *R&D in Defence Sector*:₹12,850 crore(25% for start-ups)
    *BRO*:₹4500 crore

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